UBS MIDSTREAM AND MLP CONFERENCE - ONEOK/media/Files/O/OneOK-IR-V2/... · P A G E 7 Attractive producer economics driven entirely by crude oil (~90% of earnings) At current prices,

P a r k C i t y , U t a h | J a n . 9 - 1 0

UBS MIDSTREAM AND MLP CONFERENCE

P A G E 2

FORWARD-LOOKING STATEMENTS

Statements contained in this presentation that include company expectations or predictions should be considered forward-looking statements that are

covered by the safe harbor protections provided under federal securities legislation and other applicable laws.

It is important to note that actual results could differ materially from those projected in such forward-looking statements. For additional information that

could cause actual results to differ materially from such forward-looking statements, refer to ONEOK’s Securities and Exchange Commission filings.

This presentation contains factual business information or forward-looking information and is neither an offer to sell nor a solicitation of an offer to buy any

securities of ONEOK.

All references in this presentation to financial guidance are based on news releases issued on Feb. 1, 2017; Feb. 27, 2017; May 2, 2017; Aug. 1, 2017;

and Oct. 31, 2017, and are not being updated or affirmed by this presentation.

Mont Belvieu I fractionator — Gulf Coast

4

1 2

1 8

2 4

2 6

3 2

3 6

4 0

4 2

4 8

INDEX

NEW PERIOD OF GROWTH

OVERVIEW

GUIDANCE

APPENDIX

• STACK and SCOOP

• Permian Basin

• Williston Basin

• Powder River Basin

• Business Segments

NON-GAAP RECONCILIATIONS

Bakken NGL Pipeline — North Dakota

NEW PERIOD OF GROWTH

P A G E 5

ANNOUNCED GROWTH PROJECTS SINCE JUNE 2017

Project Scope CapEx

($ in millions)

Expected

Completion

Additional STACK

processing capacity

• 200 MMcf/d processing capacity through long-term processing services agreement with third

party

• 30-mile natural gas gathering pipeline

$40 Q4 2017

West Texas LPG Pipeline

expansion

• 120-mile pipeline lateral extension with capacity of 110,000 bpd in the Permian Basin

• Supported by long-term dedicated NGL production from two planned third-party natural gas

processing plants

$160* Q3 2018

Sterling III expansion

• 60,000 bpd NGL pipeline expansion

• Increases capacity to 250,000 bpd

• Includes additional NGL gathering system expansions

• Supported by long-term third-party contract

$130 Q4 2018

Canadian Valley expansion

• 200 MMcf/d processing plant expansion in the STACK

• Increases capacity to 400 MMcf/d

• 20,000 bpd additional NGL volume

• Supported by acreage dedications, primarily fee-based contracts and minimum volume

commitments

$160 Q4 2018

Elk Creek Pipeline project

• 900-mile NGL pipeline from the Williston Basin to the Mid-Continent with capacity up to

240,000 bpd, and related infrastructure

• Supported by long-term contracts, which include minimum volume commitments

• Expansion capability up to 400,000 bpd with additional pump facilities

$1,400 Year-end 2019

Total $1,890

*Represents ONEOK’s 80 percent ownership interest.

P A G E 6

◆ Existing Bakken NGL Pipeline and Overland Pass Pipeline operating at full capacity

◆ Growing production in the region drives need for increased NGL takeaway

Attractive break-evens across 1 million acres dedicated to ONEOK in the core of the

Williston Basin

North Dakota rig count up more than 45 percent* compared with 2016

Increased activity in the Powder River and Denver-Julesburg (DJ) basins

High quality, well-capitalized producers

◆ State-mandated natural gas capture targets are increasing

North Dakota natural gas capture targets will increase from 85 percent currently to 91

percent by 2020

◆ Elk Creek Pipeline supported by contracts totaling 100,000 bpd

Contract terms of 10-15 years

70,000 bpd of minimum volume commitments

◆ Attractive project returns expected: adjusted EBITDA multiples of 4-6x

Approximately 900-mile, 20-inch pipeline with initial capacity of 240,000 bpd

$1.2 billion for new pipeline – expected completion by year-end 2019

$200 million for incremental related infrastructure

Expected to be significantly accretive to distributable cash flow per share

◆ Strengthens ONEOK’s position in the high-production areas of the Williston, Powder

River and DJ basins

ELK CREEK PIPELINE PROJECT

*November 2017 compared with November 2016. Source: North Dakota Industrial Commission

COMPELLING STRATEGIC RATIONALE

Proposed Elk Creek Pipeline

Existing Bakken NGL Pipeline

Overland Pass Pipeline (50 percent ownership interest)

P A G E 7

◆ Attractive producer economics driven entirely by crude oil (~90% of earnings)

◆ At current prices, volume forecasts show significant growth in crude oil, natural gas and NGLs

Current basin-wide crude production is ~1.2 MMbpd; current well-head gas production is ~2.1 Bcf/d*

Basin-wide crude oil production is projected to increase ~650,000 bpd over the next 10 years, with associated natural gas production increasing ~1.4 Bcf/d*

This growth is expected to increase C3+ NGL production by ~150,000 bpd* over the next 10 years; this would also result in an additional ethane opportunity

P R O D U C E R - D R I V E N N E E D F O R M O R E W I L L I S TO N B A S I N N G L TA K E AWAY

*Source: North Dakota Pipeline Authority (NDPA) Chart Sources: NDPA Forecast (average of 2 cases); Oct. 2017

CAPACITY EXPANSION IS CRITICAL TO MEET GROWING PRODUCTION

50

150

250

350

450

Williston Basin NGL Supply - C3+ (Mbp/d)

1.0

2.0

3.0

4.0

Williston Basin Natural Gas Supply (Bcf/d)

0.5

1.0

1.5

2.0

Williston Basin Crude Oil Supply (MMbp/d)

P A G E 8

0

500

1,000

1,500

2,000

Nov

-14

Dec

-14

Jan-

15

Feb

-15

Mar

-15

Apr

-15

May

-15

Jun-

15

Jul-1

5

Aug

-15

Sep

-15

Oct

-15

Nov

-15

Dec

-15

Jan-

16

Feb

-16

Mar

-16

Apr

-16

May

-16

Jun-

16

Jul-1

6

Aug

-16

Sep

-16

Oct

-16

Nov

-16

Dec

-16

Jan-

17

Feb

-17

Mar

-17

Apr

-17

May

-17

Jun-

17

Jul-1

7

Aug

-17

Sep

-17

Oct

-17

Oil

Bpd

/ G

as M

cfd

(in th

ousa

nds)

Production Date

Gross Prod. Oil (BBld) Gross Prod. Gas (Mcfd) Linear Trend Line (Gross Prod. Gas) Linear Trend Line (Gross Prod. Oil)

◆ Approximately 55 percent of North Dakota rigs are on ONEOK’s dedicated acreage

◆ North Dakota reported record levels of natural gas production in 2017:

October 2017: 2.1 Bcf/d

October 2016: 1.7 Bcf/d

WILLISTON BASIN

Source: North Dakota Industrial Commission and North Dakota Pipeline Authority

INCREASING GAS-TO-OIL RATIOS (GOR) DRIVING VOLUME GROWTH

1.19 GOR 1.55 GOR

1.74 GOR

P A G E 9

◆ Approximately 120-mile, 16-inch pipeline extension with initial capacity of 110,000 bpd

Supported by long-term dedicated NGL production from two planned third-party natural gas processing plants

◇ Up to 40,000 bpd NGL production

Project includes expansion of existing system to accommodate increased volumes

Approximately $200 million investment*

Expected completion in the third quarter 2018

◆ Delaware Basin is one of the fastest growing plays in the U.S.

◆ Positioned for significant future NGL volume growth in the Permian Basin

WEST TEXAS LPG EXPANSION

*ONEOK operates and has an 80 percent ownership interest in West Texas LPG. ONEOK’s investment is approximately $160 million.

EXTENDING REACH INTO PROLIFIC DELAWARE BASIN

P A G E 1 0

◆ Across multiple supply basins and major market areas

◆ $1.6 billion - $2.1 billion inventory of capital-growth projects under development:

NGL pipelines, fractionation and storage facilities

NGL export infrastructure

Natural gas processing plants

Natural gas pipelines

Natural gas export infrastructure

◆ High-return projects requiring minimal capital investments includes:

Well connections

Compression infrastructure

Natural gas processing plant connections

Market connections

◆ Projects will be announced as commitments from producers/processors/end-users are secured

PROJECTS UNDER DEVELOPMENT ORGANIC GROWTH – PRIMARILY FEE-BASED

P A G E 1 1

◆ Funding highly accretive growth while maintaining de-leveraging target of < 4.0x

$2.5 billion revolving credit facility

January 2018 equity offering:

◇ 21.85 million shares

◇ $1.19 billion in gross proceeds

2017 ATM equity issuances:

◇ 8.4 million shares issued

◇ ~$450 million in total net proceeds

◆ Additional capital-growth projects in 2018 and well into 2019 expected to be financed with cash generated from operations and short- and long-term borrowings

◆ Investment-grade credit ratings provide a competitive advantage

S&P: BBB (stable)

Moody’s: Baa3 (stable)

STRONG BALANCE SHEET POSITIONING ONEOK FOR CONTINUED GROWTH

$1.2

$1.6 $1.6

$1.8 $1.9

2013 2014 2015 2016 2017*

A d j u s t e d E B I T D A G r o w t h ( $ i n b i l l i o n s )

6.7x

5.3x 5.7x

5.1x 4.6x

2013 2014 2015 2016 2017**

G A A P D e b t - t o - E B I T D A R a t i o

*Last 12 months, as of Sept. 30, 2017 **Third quarter 2017 annualized

Garden Creek plant — North Dakota

OVERVIEW

P A G E 1 3

KEY INVESTMENT CONSIDERATIONS A PREMIER ENERGY COMPANY

66% 66%

83%

89% ~90% 23%

22%

12%

7%

~5%

11%

12% 5%

4% ~5%

$1.7 B

$2.1 B $2.1 B

$2.6 B

$2.8 B

2013 2014 2015 2016 2017G

S o u r c e s o f E a r n i n g s ( $ i n b i l l i o n s )

Fee Commodity Differential

• One of the largest energy midstream service providers in the U.S.

• Well-positioned in NGL-rich plays and major market areas

• Significant growth potential – STACK and SCOOP areas; Williston and Permian basins

• Completed more than $9 billion of growth projects 2006-2016

STRATEGIC, INTEGRATED ASSETS

• Predominantly fee-based earnings

• Commitment to safe, reliable and environmentally responsible operations

• 9-11 percent annual dividend growth expected through 2021

LONG-TERM SHAREHOLDER VALUE

• Strong balance sheet

• Committed to investment-grade credit ratings

• Expected annual dividend coverage target greater than 1.2 times

• Financial flexibility – a result of disciplined growth and prudent financial decision-making

FINANCIAL STRENGTH

P A G E 1 4

◆ Approximately 38,000-mile network of natural gas liquids and natural gas pipelines

◆ Provides midstream services to producers, processors and customers

◆ Significant basin diversification

◆ Growth expected to be driven by:

Industry fundamentals from increased producer activity

Highly productive basins

Increased ethane demand from the petrochemical industry and NGL exports

INTEGRATED. RELIABLE. DIVERSIFIED.

Natural Gas Gathering & Processing

Natural Gas Pipelines Natural Gas Liquids

P A G E 1 5

◆ Exchange Services – Primarily fee based

Gather, fractionate and transport raw NGL feed to storage and

market hubs

◆ Transportation & Storage Services – Fee based

Transport NGL products to market centers and provide storage

services for NGL products

◆ Marketing – Differential based

Purchase for resale approximately 70% of fractionator supply on

an index-related basis and truck and rail services

◆ Optimization – Differential based

Obtain highest product price by directing product movement

between market hubs and convert normal butane to iso-butane

NATURAL GAS LIQUIDS PREDOMINANTLY FEE BASED

7% 10% 5% 5% < 5% 8%

9% 5% 4% ~ 5%

15% 12%

12% 11% ~ 10%

70%

69% 78%

80% > 80%

$0.9 B

$1.1 B

$1.3 B

$1.4 B

$1.5 B

2013 2014 2015 2016 2017G

S o u r c e s o f E a r n i n g s ( $ i n b i l l i o n s )

Optimization Marketing Transportation & Storage Exchange Services

P A G E 1 6

◆ Achieved increased fee-based contract mix by restructuring percent-of-proceeds (POP) contracts with a fee component to include a higher fee rate

Increasing fee-based earnings while providing enhanced services to customers

Expect fee rate to average approximately 85 cents in 2017 with fluctuations due to volume and contract mix

NATURAL GAS GATHERING AND PROCESSING PREDOMINANTLY FEE BASED

34% 33%

56%

80% > 80%

66% 67%

44%

20% < 15%

2013 2014 2015 2016 2017G

C o n t r a c t M i x b y E a r n i n g s

Fee Based Commodity

$0.68 $0.76 $0.76 $0.83 $0.87 $0.86

Q1 Q2 Q3

A v e r a g e F e e R a t e ( p e r M M B t u )

2016 2017

P A G E 1 7

96% 92% 98% 96% ~ 97%

4% 8% 2% 4% ~ 3%

2013 2014 2015 2016 2017G

S o u r c e s o f E a r n i n g s

Fee Based Commodity

◆ Firm demand-based contracts serving primarily investment-grade utility customers

◆ Roadrunner Gas Transmission pipeline project and WesTex pipeline expansion enhance export capability to Mexico

Completed in 2016

Contract terms of 25 years

Capacity:

◇ Roadrunner*: 570 MMcf/d

□ Phase III to add 70 MMcf/d, expected completion in 2019

◇ WesTex expansion: 260 MMcf/d

NATURAL GAS PIPELINES

*ONEOK operates and has a 50 percent ownership interest in Roadrunner. Capacities represent total pipeline capacity.

PREDOMINANTLY FEE BASED

Lonesome Creek plant — North Dakota

GUIDANCE

P A G E 1 9

◆ Adjusted EBITDA: $1,885 million – $2,055 million

◆ Distributable cash flow: $1,275 million – $1,435 million

Target dividend coverage ratio of ≥1.2 times

◆ Net income: $635 million – $795 million

◆ Capital expenditures: $580 million – $700 million

Growth: $450 million – $550 million

Maintenance: $130 million – $150 million

2017 F INANCIAL GUIDANCE SUMMARY

*Dividend paid in fourth quarter 2017, annualized Note: Adjusted EBITDA, distributable cash flow and coverage ratio are non-GAAP measures. Reconciliations to relevant GAAP measures are included in the appendix.

UPDATED AUG. 1, 2017

$1.48 $2.13 $2.43 $2.46

$2.98

2013 2014 2015 2016 2017*

D i v i d e n d s P a i d P e r S h a r e P e r Y e a r

1 9 % C A G R s i n c e 2 0 1 3

2017 Guidance ($ in millions)

Natural Gas

Liquids

Natural Gas

Gathering and

Processing

Natural Gas

Pipelines Other

Adjusted

EBITDA $1,135 – $1,235 $460 – $500 $330 – $350 $(40) – $(30)

58%

23%

17%

2%

2 0 1 7 A d j u s t e d E B I T D A G u i d a n c e

Natural Gas Liquids

Natural Gas Gathering andProcessing

Natural Gas Pipelines

Other

P A G E 2 0

NATURAL GAS LIQUIDS

*Includes transportation and fractionation

**Transportation only

VOLUME UPDATE

◆ 2017 processing plant connections: Six completed in 2017:

◇ Three in the first quarter: Mid-Continent region (1), Permian Basin (1), Rocky

Mountain region (1)

◇ Two in the second quarter: Mid-Continent region

◇ One in the third quarter: Permian Basin

◆ Third-quarter 2017 gathered volumes averaged 812,000 bpd October 2017 gathered volumes have exceeded 900,000 bpd on multiple days

◆ Third-quarter ethane rejection averaged more than 150,000 bpd Relatively unchanged from the second quarter 2017 despite increased NGL

volumes gathered

Ethane rejection levels expected to continue to fluctuate

Region/Asset Third Quarter 2017 – Average

Gathered Volumes

Average Bundled Rate

(per gallon)

Bakken NGL Pipeline 135,000 bpd ~30 cents*

Mid-Continent 485,000 bpd < 9 cents*

West Texas LPG system 192,000 bpd < 3 cents**

Total 812,000 bpd

533

769 770 800-850

2014 2015 2016 2017G

G a t h e r e d Vo l u m e ( M B b l / d )

522 552 586 575-635

2014 2015 2016 2017G

F r a c t i o n a t i o n Vo l u m e ( M B b l / d )

P A G E 2 1

◆ ONEOK’s NGL infrastructure connects supply to the Gulf Coast region

Incremental ethane transported and fractionated volume potential of 175,000 – 200,000 bpd

Potential annual earnings uplift from full ethane recovery estimated to be approximately $200 million

◇ More than $170 million from the Mid-Continent

◆ Basins closer to market hubs expected to be the first to recover ethane

◆ Incremental ethane opportunity for ONEOK by basin:

Mid-Continent: ~140,000 bpd

Williston Basin: ~35,000 bpd

Permian: ~10,000 bpd

ETHANE RECOVERY BY BASIN

*As of September 2017

INCREMENTAL ETHANE DEMAND

Williston Basin/

Rockies

Mid-Continent

Permian Basin

Eagle Ford

Shale

Appalachia

1

1

1

2

2

2 3

3

Ethane Supply Expected Timing

Expected Incremental

Petrochemical and Export

Capacity*

1 In service 296,000 bpd

2 4Q2017 – 4Q2018 467,000 bpd

3 1Q2019 – 4Q2020 149,000 bpd

Total 912,000 bpd

2

P A G E 2 2

NATURAL GAS GATHERING AND PROCESSING 2017 VOLUME EXPECTATIONS

Williston Basin

◆ 130 well connects completed in the third quarter 2017; 313 through the

first nine months of 2017 Approximately 400 expected in 2017

◆ Approximately 30 rigs on ONEOK’s dedicated acreage

Mid-Continent

◆ 35 well connects completed in the third quarter 2017; 76 in the first nine months of 2017

Approximately 100 expected in 2017

◆ Approximately 15 rigs on ONEOK’s dedicated acreage

487 662 780 800-830

917 862 781 775-850

2014 2015 2016 2017G*

G a t h e r e d Vo l u m e s ( M M c f / d )

Rocky Mountain Mid-Continent

442 622 756 800-830

755 658

653 675-750

2014 2015 2016 2017G**

P r o c e s s e d V o l u m e s ( M M c f / d )

Rocky Mountain Mid-Continent

1,404 1,524 1,561 1,575 – 1,680

1,197 1,280 1,409

1,475 – 1,580

Region Third Quarter 2017 – Average

Gathered Volumes1

Third Quarter 2017 – Average

Processed Volumes2

Rocky Mountain 867 MMcf/d 857 MMcf/d

Mid-Continent 863 MMcf/d 744 MMcf/d

Total 1,730 MMcf/d 1,601 MMcf/d

1 Nine-month YTD 2017 gathered volumes (MMcf/d): 1,633 *2017 guidance gathered volumes (BBtu/d): 2,050-2,175 2 Nine-month YTD 2017 processed volumes (MMcf/d): 1,507 **2017 guidance processed volumes (BBtu/d): 1,950-2,075

P A G E 2 3

◆ Expect more than 95 percent fee-based earnings in 2017, and:

Approximately 93 percent of transportation capacity contracted

More than 60 percent of natural gas storage capacity contracted

◆ Firm demand-based contracts serving primarily investment-grade utility customers

◆ Well-positioned for additional natural gas takeaway options out of the Permian Basin and STACK and SCOOP areas

◆ Contracted transportation capacity and fee-based earnings have increased with completion of WesTex Transmission Pipeline expansion and Roadrunner Gas Transmission Pipeline

NATURAL GAS PIPELINES WELL-POSITIONED AND MARKET-CONNECTED

6,300 6,659 6,757 6,452 6,593

Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017

N a t u r a l G a s T r a n s p o r t a t i o n C a p a c i t y C o n t r a c t e d ( M D t h / d )

91% 92% 92% ~ 93%

2014 2015 2016 2017G

N a t u r a l G a s T r a n s p o r t a t i o n C a p a c i t y S u b s c r i b e d

Mont Belvieu II fractionator — Gulf Coast

APPENDIX

P A G E 2 5

ONEOK GROWTH: 2006 -2016 $9 BILLION INVESTED IN INFRASTRUCTURE

2

4

1

5

3

2. Niobrara/Powder River Basin

• Niobrara NGL Lateral

• OPPL Expansion

• Sage Creek and NGL Infrastructure Acquisition

4. Permian Basin and Gulf Coast

• Roadrunner Gas Transmission Pipeline

• WesTex Transmission Pipeline Expansion

• Sterling I Expansion

• Sterling I and II Reconfiguration

• Sterling III and Arbuckle Pipelines

• MB II and III Fractionators

• Mont Belvieu E/P Splitter

• Ethane Header Pipeline

• West Texas LPG Pipeline System Acquisition

1. Bakken/Williston Basin

• Plants: Garden Creek I, II and III; Grasslands Plant

Expansion; Stateline I and II; Lonesome Creek; and

Bear Creek

• Bakken NGL Pipeline and Expansion Phase I

• Stateline de-ethanizers

• Field Compression and Related Infrastructure

• Divide County Gathering System

• Related NGL Infrastructure

3. Midwest Region

• MGT Compressor Station

• Midwestern Extension

• Guardian II Expansion

• North System Acquisition

5. Mid-Continent Region

• Canadian Valley Plant

• NGL Plant Connections

• Bushton Fractionator Expansion

• NGL Pipeline and Hutchinson

Fractionator Infrastructure

• Maysville Plant Acquisition Natural Gas Gathering & Processing


Natural Gas Liquids

Completed Growth Projects and Acquisitions

Mustang Pipeline — Oklahoma

STACK AND SCOOP

P A G E 2 7

30-Day Avg IP > 1,200 BOE

900 – 1,200

600 – 900

400 – 600

200 – 400

Avg Proppant > 2,400 lbs/ft

2,000 – 2,400

1,500 – 2,000

1,200 – 1,500

800 – 1,200

STACK AND SCOOP PRODUCTION ONEOK ASSETS: WELL POSITIONED IN HIGH ACTIVITY AREAS

◆ Higher levels of proppant injection may be a leading indicator for production activity

◆ Producers continue to expand their areas of focus based on production results

30-Day Average Oil IP Rates Average Proppant Injection Levels

Source: IHS, wells completed from January 2015 to June 2017

P A G E 2 8

Natural Gas Liquids

◆ Approximately 110 third-party natural gas processing plant connections in Mid-Continent

◆ Approximately 140,000 bpd incremental ethane opportunity out of the Mid-Continent

◆ Incremental 100,000 bpd of expected supply by end of 2018

Natural Gas Gathering and Processing

◆ Access to nearly 900 MMcf/d of processing capacity through integrated asset network by end of 2017; increasing to 1.1 Bcf/d by end of 2018


◆ Extensive pipeline footprint across the region

◆ Flexibility from approximately 50 Bcf of storage capacity

◆ Opportunities to match supply with markets

STACK AND SCOOP PLAYS RELIABLE FULL-SERVICE PROVIDER

Natural Gas Liquids Natural Gas Pipelines Natural Gas Gathering & Processing

P A G E 2 9

Natural Gas Liquids

◆ Currently gathering approximately 150,000 – 200,000 bpd of NGLs

◆ More than 110 existing natural gas processing plant connections in the Mid-Continent

Three new processing plant connections in 2017

◆ Expect an incremental 100,000 bpd of NGLs gathered by the end of 2018

◆ Recently announced growth projects to accommodate accelerated producer investments in the STACK

Sterling III and Mid-Continent NGL system expansions ◇ Expanding Sterling III pipeline to 250,000 bpd, from 190,000 bpd

◇ Connecting Arbuckle Pipeline to Cajun-Sibon Pipeline in southeast Texas

◇ $130 million investment for both projects, expected to be complete by year-end 2018

ONEOK’s Canadian Valley natural gas processing plant expansion ◇ 200 MMcf/d processing plant expansion expected to add approximately

20,000 bpd of natural gas liquids by 2019

◇ $155–$165 million investment, expected completion by year-end 2018

STACK AND SCOOP PLAYS FULL-SERVICE CAPABILITY

Third-Party Plant Connections ONEOK Plants Natural Gas Liquids

P A G E 3 0


◆ More than 300,000 acres dedicated in the STACK and SCOOP

◆ Producer results continue to improve through enhanced well completions and rig efficiencies

◆ Integrated network of natural gas processing plants with expected capacity of 1.1 Bcf/d by 2019

◆ Recently announced growth projects to support increasing producer activity on dedicated acreage

200 MMcf/d Canadian Valley processing plant expansion

◇ Increases capacity to 400 MMcf/d by the fourth quarter 2018

Construction of a nearly 30-mile natural gas gathering pipeline to access an additional 200 MMcf/d processing capacity in the STACK

STACK AND SCOOP PLAYS WELL-POSITIONED GATHERING AND PROCESSING ASSETS

Natural Gas Gathering and Processing Pipelines ONEOK Plants

P A G E 3 1


◆ Connected to 34 natural gas processing plants in Oklahoma with a total capacity of 1.8 Bcf/d

◆ Access to on-system utility and industrial markets with peak demand of approximately 2.4 Bcf/d

◆ Westbound expansion of ONEOK Gas Transmission Pipeline out of the STACK

Firm commitments for 100 MMcf/d secured

Initial expansion design consists of adding compression

Ongoing market discussions to scale up project by adding compression

◆ Approximately 50 Bcf of natural gas storage capacity in Oklahoma

STACK AND SCOOP PLAYS PROVIDING CONNECTIVITY

Natural Gas Pipelines Third-Party Plant Connections

ONEOK Plants Natural Gas Storage

Roadrunner Pipeline — Permian Basin

PERMIAN BASIN

P A G E 3 3

Natural Gas Liquids

◆ Nearly 40 third-party natural gas processing plant connections in the Permian Basin

Two new plant connections completed in 2017

◆ West Texas LPG pipeline system expandable through additional pump stations and pipeline looping

Current capacity: 285,000 bpd*

Recently announced extension into the Delaware Basin


◆ Connected to more than 25 natural gas processing plants serving the Permian Basin with a total capacity of 1.9 Bcf/d

◆ Access to on-system utility and industrial markets with peak demand of approximately 1.5 Bcf/d

◆ Completed capital projects in 2016: Roadrunner Phase I and II totaling 570 MMcf/d of capacity**

WesTex Transmission Pipeline adding 260 MMcf/d of capacity

◆ 4 Bcf of active natural gas storage capacity in Texas

PERMIAN BASIN

*ONEOK operates and has an 80 percent ownership interest in West Texas LPG. ONEOK’s volume interest capacity is approximately 230,000 bpd. **ONEOK operates and has a 50 percent ownership interest in Roadrunner. Capacity represents total pipeline capacity.

RELIABLE SERVICE PROVIDER

Natural Gas Liquids


Third-party Plant Connections

Natural Gas Storage

Roadrunner Gas Transmission

P A G E 3 4

Natural Gas Liquids

◆ Extensive network of natural gas liquids pipelines connecting supply to Gulf Coast and Conway, Kansas, market centers

◆ Ability to offer transportation and fractionation services to new customers in the basin

PERMIAN BASIN FULL-SERVICE CAPABILITY

Natural Gas Liquids Third-party Plant Connections

P A G E 3 5


◆ Connected to more than 25 natural gas processing plants serving the Permian Basin with a total capacity of 1.9 Bcf/d

◆ Well-positioned in the Delaware Basin with a significant position in the Midland Basin

◆ 2,500-mile network of natural gas pipelines and storage connecting Mid-Continent and Permian Basin supply with natural gas utility and industrial markets in Texas and Mexico

◆ ONEOK WesTex provides access to Waha Hub pipelines for liquidity and transaction capabilities

PERMIAN BASIN PROVIDING CONNECTIVITY

Natural Gas Pipelines ONEOK Plant Connections

Natural Gas Storage

Roadrunner Gas Transmission

Third-party Plant Connections

ONEOK’s WesTex Waha Hub

El Paso Southern Union

Enterprise Atmos

Energy Transfer TransWestern

Oasis Northern Natural

Roadrunner CFE Hub (pending)

Bakken NGL Pipeline — North Dakota

WILLISTON BASIN

P A G E 3 7

Natural Gas Liquids

◆ Four third-party natural gas processing plant connections

◆ Highest margin NGL barrel with average bundled fee rates of approximately 30 cents per gallon

◆ Approximately 35,000 bpd incremental ethane opportunity


◆ 2.4 Bcf/d of long-haul natural gas transportation capacity through ONEOK’s 50 percent owned Northern Border Pipeline

◆ Northern Border Pipeline provides the most economical capacity route out of the Williston Basin

Substantially contracted through the first quarter 2020

WILLISTON BASIN PROVIDING VALUABLE TAKEAWAY CAPACITY

Natural Gas Liquids Natural Gas Pipelines Third-party Plant Connections

P A G E 3 8


◆ More than 3 million acres dedicated to ONEOK

Approximately 1 million acres in the core

◆ Nearly 1 Bcf/d of natural gas processing capacity

Approximately 125 MMcf/d available

◆ Increased producer drilling activity in the basin

Approximately 30 rigs on ONEOK’s dedicated acreage

◆ Approximately 350 – 400 drilled but uncompleted wells on ONEOK’s dedicated acreage

◆ Approximately 400 well connects expected in 2017

313 in the first nine months of 2017

◆ Higher gas-to-oil ratios in the core of the basin where completion activities are highest

WILLISTON BASIN COMPETITIVELY ADVANTAGED ASSET FOOTPRINT

Natural Gas Gathering and

Processing Pipelines ONEOK Natural Gas

Processing Plants

P A G E 3 9

◆ Increased NGL and natural gas value uplift

◆ Approximately 84% of North Dakota’s natural gas production was captured in October 2017

◆ North Dakota Industrial Commission (NDIC) policy targets:

Increase natural gas capture to: 85% by Nov. 2016; 88% by Nov. 2018; and 91% by Nov. 2020

◆ October statewide flaring was approximately 330 MMcf/d, with 130 MMcf/d estimated to be on ONEOK’s dedicated acreage

◆ Producer customers incentivized to increase natural gas capture rates to maximize the value of wells drilled

WILLISTON BASIN

Source: NDIC Department of Mineral Resources

INCREASED NATURAL GAS CAPTURE RESULTS

0

500

1,000

1,500

2,000

2,500

0%

5%

10%

15%

20%

25%

30%

35%

40%

2010 2011 2012 2013 2014 2015 2016 2017

MM

cf/d

Pro

duce

d

Per

cent

Fla

red

N o r t h D a k o t a N a t u r a l G a s P r o d u c e d a n d F l a r e d

Gas Produced Percent of Gas Flared

Lonesome Creek plant — North Dakota

POWDER RIVER BASIN

P A G E 4 1

Natural Gas Liquids

◆ Assets located in NGL-rich Niobrara, Sussex and Turner formations

◆ NGL takeaway through Bakken NGL Pipeline and Overland Pass Pipeline

◆ Two third-party natural gas processing plant connections

One connected in first quarter 2017


◆ Approximately 130,000 acres dedicated to ONEOK

◆ 50 MMcf/d processing capacity at Sage Creek natural gas processing plant

◆ Integrated assets and value chain with natural gas liquids segment

POWDER RIVER BASIN PROVIDING VALUABLE TAKEAWAY CAPACITY

Natural Gas Gathering and Processing Third-party Plant

ONEOK Plant Natural Gas Liquids

Garden Creek plant — North Dakota

BUSINESS SEGMENTS

P A G E 4 3

◆ Provides fee-based services to natural gas processors and customers

Gathering, fractionation, transportation, marketing and storage

◆ Extensive NGL gathering system Connected to nearly 200 natural gas processing plants in the Mid-

Continent, Barnett Shale, Rocky Mountain regions and Permian Basin

◇ Represents 90 percent of pipeline-connected natural gas processing plants located in Mid-Continent

◇ Contracted NGL volumes exceed physical volumes – minimum volume commitments

◆ Extensive NGL fractionation system Fractionation capacity near two market hubs

◇ Conway, Kansas and Medford, Oklahoma – 500,000 bpd capacity

◇ Mont Belvieu, Texas – 340,000 bpd capacity

◆ Bakken NGL Pipeline offers exclusive pipeline takeaway from the Williston Basin

◆ Links key NGL market centers at Conway, Kansas, and Mont Belvieu, Texas

◆ North System supplies Midwest refineries and propane markets

NATURAL GAS LIQUIDS ONE OF THE LARGEST INTEGRATED NGL SERVICE PROVIDERS

Fractionation 840,000 bpd net capacity

Isomerization 9,000 bpd capacity

E/P Splitter 40,000 bpd

Storage 26 MMBbl capacity

Distribution 4,380 miles of pipe with

1,060 mbp/d capacity

Gathering –

Raw Feed

7,140 miles of pipe with

1,485 MBp/d capacity

As of Sept. 30, 2017

NGL Gathering Pipelines

NGL Distribution Pipelines

NGL Market Hub

NGL Fractionator

Overland Pass Pipeline (50% interest)

NGL Storage

P A G E 4 4

◆ Provides gathering, compression, treating and processing services to producers

◆ Diverse contract portfolio More than 2,000 contracts

Percent of proceeds (POP) with fees

◇ Restructured significant POP with fee contracts to include a larger fee component

◆ Natural gas supplies from three core areas: Williston Basin

◇ Bakken

◇ Three Forks

Mid-Continent

◇ STACK*

◇ SCOOP**

◇ Cana-Woodford Shale

◇ Mississippian Lime

◇ Granite Wash, Hugoton, Central Kansas Uplift

Powder River Basin

◇ Niobrara, Sussex and Turner formations

NATURAL GAS GATHERING AND PROCESSING SERVING PRODUCERS IN KEY BASINS

Gathering 19,090 miles of pipe

Processing 20 active plants

1,825 MMcf/d capacity

Volumes

2,278 BBtu/d or 1,730 MMcf/d gathered;

2,128 BBtu/d or 1,601 MMcf/d processed;

955 BBtu/d residue gas sold;

193 MBbl/d NGLs sold


Gathering pipelines

Natural gas processing plant *STACK: Sooner Trend (oil field), Anadarko (basin), Canadian and Kingfisher (counties) **SCOOP: South Central Oklahoma Oil Province

P A G E 4 5

NATURAL GAS GATHERING AND PROCESSING

*Natural gas prices represent a combination of hedges at various basis locations **NGLs hedged reflect propane, normal butane, iso-butane and natural gasoline only. The ethane component of the equity NGL volume is not hedged and not expected to be material to ONEOK’s results of operations

VOLUMES HEDGED AS OF SEPT. 30, 2017

Three Months Ending December 31, 2017

Commodity Volumes Hedged Average Price Percent Hedged

Natural Gas* (BBtu/d) 72.9 $2.63 / MMBtu 89%

Condensate (MBbl/d) 1.8 $44.88 / Bbl 66%

Natural Gas Liquids** (MBbl/d) 8.0 $0.51 / gallon 87%

Year Ending December 31, 2018


Natural Gas* (BBtu/d) 67.2 $2.79 / MMBtu 83%

Condensate (MBbl/d) 2.4 $52.65 / Bbl 77%


Year Ending December 31, 2019



P A G E 4 6

NATURAL GAS GATHERING AND PROCESSING

*As of Sept. 30, 2017 **Three-month forward-looking sensitivities net of hedges in place ***Full-year forward-looking sensitivities net of hedges in place

COMMODITY PRICE SENSITIVITIES AFTER HEDGING*

Earnings Impact ($ in Millions)



Commodity Sensitivity 2017** 2018*** 2019***

Natural Gas $0.10 / MMBtu $0.1 $0.5 $2.8

Natural Gas Liquids $0.01 / gallon $0.1 $1.9 $3.5

Crude Oil $1.00 / barrel $0.1 $0.5 $1.4

P A G E 4 7

◆ Predominantly fee-based income

◆ 93% of transportation capacity contracted under firm demand-based rates expected in 2017

◆ 82% of contracted system transportation capacity serves end-use markets in 2016

Connected directly to end-use markets

◇ Local natural gas distribution companies

◇ Electric-generation facilities

◇ Large industrial companies

◆ 65% of storage capacity contracted under firm, fee-based arrangements in 2016

NATURAL GAS PIPELINES CONNECTIVITY TO KEY MARKETS

Pipelines 6,655 miles, 7.2 Bcf/d peak capacity

Storage 50 Bcf active working capacity


Natural Gas Interstate Pipeline

Natural Gas Intrastate Pipeline

Natural Gas Storage

Northern Border Pipeline (50% interest)

Roadrunner Gas Transmission (50% interest)

Mont Belvieu II fractionator — Gulf Coast

N O N - G A A P R E C O N C I L I AT I O N S

P A G E 4 9

ONEOK has disclosed in this presentation adjusted EBITDA, distributable cash flow (DCF) and dividend coverage ratio, which are non-GAAP financial metrics, used to measure ONEOK’s financial performance, and are defined as follows:

Adjusted EBITDA is defined as net income from continuing operations adjusted for interest expense, depreciation and amortization, noncash impairment charges, income taxes, noncash compensation expense, allowance for equity funds used during construction (equity AFUDC), and other noncash items; and

Distributable cash flow is defined as adjusted EBITDA, computed as described above, less interest expense, maintenance capital expenditures and equity earnings from investments, excluding noncash impairment charges, adjusted for cash distributions received from unconsolidated affiliates and certain other items; and

Dividend coverage ratio is defined as ONEOK’s distributable cash flow to ONEOK shareholders divided by the dividends paid for the period.

These non-GAAP financial measures described above are useful to investors because they are used by many companies in the industry as a measurement of financial performance and are commonly employed by financial analysts and others to evaluate our financial performance and to compare our financial performance with the performance of other companies within our industry. Adjusted EBITDA, DCF and dividend coverage ratio should not be considered in isolation or as a substitute for net income or any other measure of financial performance presented in accordance with GAAP.

These non-GAAP financial measures exclude some, but not all, items that affect net income. Additionally, these calculations may not be comparable with similarly titled measures of other companies. In connection with our merger transaction, we have adjusted prior periods in the following table to conform to current presentation. Furthermore, these non-GAAP measures should not be viewed as indicative of the actual amount of cash that is available or that is planned to be distributed in a given period.

NON-GAAP RECONCILIATIONS

P A G E 5 0

NON-GAAP RECONCILIATION NET INCOME TO ADJUSTED EBITDA

($ in Millions) 2013 2014 2015 2016

Reconciliation of Income from Continuing Operations to Adjusted EBITDA

Income from continuing operations $589 $669 $385 $746

Interest expense, net of capitalized interest 271 356 417 470

Depreciation and amortization 239 295 355 392

Impairment charges - 79 264 -

Income taxes 166 151 137 212

Noncash compensation expense 11 17 14 32

Other noncash items and equity AFUDC (30) (15) 7 (1)

Adjusted EBITDA $ 1,246 $1,552 $1,579 $1,851

P A G E 5 1

NON-GAAP RECONCILIATION

2015 2016 2017

($ in Millions) Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q4 FY Q1 Q2 Q3

Reconciliation of Income from Continuing Operations to

Adjusted EBITDA

Income from continuing operations $96 $151 $165 ($27) $385 $176 $180 $195 $195 $746 $186 $176 $167

Interest expense, net of capitalized interest 97 102 107 111 417 118 119 118 114 470 116 118 127

Depreciation and amortization 86 87 88 94 355 94 99 99 99 392 99 101 102

Impairment charges - - - 264 264 - - - - - - - 20

Income taxes 37 48 38 14 137 50 52 55 55 212 55 44 97

Noncash compensation expense 3 3 10 (2) 14 7 10 3 12 32 2 3 5

Other noncash items and equity AFUDC 8 1 - (2) 7 - - - (1) (1) 2 20 (1)

Adjusted EBITDA $327 $392 $408 $452 $1,579 $445 $460 $470 $474 $1,851 $460 $462 $517

Interest expense, net of capitalized interest (97) (102) (107) (111) (417) (118) (119) (118) (115) (470) (116) (118) (127)

Maintenance capital (32) (32) (21) (31) (116) (22) (23) (21) (46) (112) (24) (23) (33)

Equity earnings from investments, excluding noncash impairment

charges (31) (30) (32) (32) (125) (33) (32) (35) (40) (140) (40) (39) (40)

Distributions received from unconsolidated affiliates 39 41 36 40 156 47 62 41 47 197 47 50 49

Other (2) (3) 1 (1) (5) 7 (3) (5) (2) (3) (3) (2) (2)

Distributable Cash Flow $204 $266 $285 $317 $1,072 $326 $345 $332 $318 $1,323 $324 $330 $364

Distributions to public limited partners (127) (129) (133) (135) (524) (135) (135) (136) (136) (542) (135) (135) -

Distributable cash flow to shareholders $77 $137 $152 $182 $548 $191 $210 $196 $182 $781 $189 $195 $364

Dividends paid to shareholders $0.605 $0.605 $0.605 $0.615 $2.430 $0.615 $0.615 $0.615 $0.615 $2.460 $0.615 $0.615 $0.745

Coverage ratio 0.61 1.09 1.20 1.41 1.08 1.48 1.62 1.52 1.41 1.51 1.46 1.50 1.29

Number of shares used in computations (millions) 208 209 209 209 209 210 210 210 211 210 211 211 380

P A G E 5 2


*2017 guidance ranges include nonrecurring cash and noncash charges associated with the ONEOK and ONEOK Partners merger transaction which closed on June 30, 2017.

NET INCOME TO ADJUSTED EBITDA AND DCF

2017 Guidance Range* (Millions of dollars)

Reconciliation of Income from Continuing Operations to Adjusted

EBITDA and Distributable Cash Flow

Income from continuing operations $ 635 - $ 795

Interest expense, net of capitalized interest 500 - 480

Depreciation and amortization 405 - 415

Income taxes 300 - 330

Noncash compensation expense 25 - 15

Other noncash items and equity AFUDC 20 - 20

Adjusted EBITDA 1,885 - 2,055

Interest expense, net of capitalized interest (500) - (480)

Maintenance capital (130) - (150)

Equity in net earnings from investments (150) - (170)

Distributions received from unconsolidated affiliates 185 - 205

Other (15) - (25)

Distributable cash flow $ 1,275 - $ 1,435

P A G E 5 3


*2017 guidance ranges include nonrecurring cash and noncash charges associated with the ONEOK and ONEOK Partners merger transaction which closed on June 30, 2017.

SEGMENT ADJUSTED EBITDA TO ADJUSTED EBITDA

2017 Guidance Range* (Millions of dollars)

Reconciliation of segment adjusted EBITDA to adjusted EBITDA

Segment adjusted EBITDA:

Natural Gas Liquids $ 1,135 - $ 1,235

Natural Gas Gathering and Processing 460 - 500

Natural Gas Pipelines 330 - 350

Other (40) - (30)

Adjusted EBITDA $ 1,885 - $ 2,055

Bear Creek plant — Williston Basin

Documents

UBS MIDSTREAM AND MLP CONFERENCE - ONEOK/media/Files/O/OneOK-IR-V2/... · P A G E 7 Attractive producer economics driven entirely by crude oil (~90% of earnings) At current prices,